Simple Interest

A sum of money amounts to Rs. 9800 after 5 years and Rs. 12005 after 8 years at the same rate of simple interest. The rate of interest per annum is:

• 5%

• 8%

• 12%

• 15%

Answer explanation

A certain amount earns simple interest of Rs. 1750 after 7 years. Had the interest been 2% more, how much more interest would it have earned?

• Rs.35

• Rs.45

• Rs.55

• Cannot be determined

Answer explanation

What will be the ratio of simple interest earned by certain amount at the same rate of interest for 6 years and that for 9 years?

• 1:3

• 2:1

• 2:3

• 4:3

Answer explanation

An automobile financier claims to be lending money at simple interest, but he includes the interest every six months for calculating the principal. If he is charging an interest of 10%, the effective rate of interest becomes:

• 10%

• 10.5%

• 11%

• 10.25%

Answer explanation

A man took loan from a bank at the rate of 12% p.a. simple interest. After 3 years he had to pay Rs. 5400 interest only for the period. The principal amount borrowed by him was:

• Rs.2000

• Rs.10000

• Rs.15000

• Rs.20000

Answer explanation

If the interest earned in 3 years is ₹450 at 6% p.a., what is the principal?

• Rs.2000

• Rs.2500

• Rs.3000

• Rs.0

Answer explanation

How much time will it take to earn ₹240 as simple interest on ₹1200 at 10% p.a.?

• 1 year

• 2 years

• 3 years

• 4 years

Answer explanation

If the principal is ₹6000 and the interest earned in 4 years is ₹960, what is the rate of interest per annum?

• 3%

• 4%

• 5%

• 6%

Answer explanation

If ₹400 earns ₹160 in 4 years, what is the rate of simple interest?

• 8%

• 10%

• 12%

• 15%

Answer explanation

What is the formula for calculating simple interest?

• SI = P × R × T / 100

• SI = P × R × T² / 100

• None

• Other